LIC Bachat Plus: If you are looking for any such insurance policy in which along with life insurance, savings are also there, then read the full news immediately. Investing here will only benefit.
LIC Bachat Plus: LIC Bachat Plus is a type of non-linked individual, life assurance savings plan. Investment can be made in this scheme both online and offline. Also, if the policy taker dies before the maturity period, then the sum assured is given to his family. Also, if the policyholder survives till the date of maturity of the policy, then the maturity amount is paid to him himself.
The Basic Sum Assured under the policy is Rs 1 lakh. There is no maximum limit for this. Premium can be paid as a lump sum single premium or as a limited premium payment for a limited period of 5 years. If you want to pay the premium in installments, then it can be paid on monthly, quarterly, half yearly or yearly basis. Discount is also available if you buy the policy online without any agent or intermediary. It will be 2% of premium in case of single premium option and 7% of premium in case of limited premium option.
Amount on death
If the policyholder dies, there are 2 options for Sum Assured under Single Premium and Limited Premium Payment. Under single premium, the individual will be paid 10 times or 1.25 times the tabular premium for the Basic Sum Assured already chosen. Wherein, for Basic Sum Assured opted under Limited Premium Payment, more than 10 times the Tabular Premium Plus model loading or Guaranteed Sum Assured on Maturity i.e. more than Basic Sum Assured.
Also an option has been given for the selected Basic Sum Assured to be more than 7 times the Tabular Premium Plus model loading or Guaranteed Sum Assured on Maturity i.e. more than Basic Sum Assured. Here tabular premium means the premium applicable for the opted option and the single premium or limited premium payment for the Basic Sum Assured
Policy taking age
90 days of birth under both the single premium options. Whereas 90 days of birth have been completed under the first option in limited premium, then the minimum entry age under the second is 40 years. Talking about the maximum age limit, in single premium it is 44 years under the first option, 70 years under the second option. Also, 60 years under the first option in limited premium, 65 years under the second option. Its minimum maturity limit has been kept at 18 years. Also, if we talk about the maximum maturity limit, then 65 years under the first option in single premium, 80 years under the second option, 75 years under the first option in limited premium, 80 years under the second option.
Death Benefit Payment Rules
If the policyholder dies within 5 years of taking the policy and if it happens before the date of commencement of risk, the premium without interest will be refunded. This will not include taxes, extra charges and rider premium. On the other hand, if it happens after the date of commencement of risk, the Sum Assured will be paid on death. Sum Assured will be paid on death. Also, if there is any loyalty addition, then that will also be given. Death benefit under Limited Premium Payment shall not be less than 105 per cent of all premiums paid.
This will be the advantage on maturity
If the policy buyer survives till its maturity date, then the maturity amount will be paid to him/her. Also, if there is any additional loyalty, then that will also be given. Maturity amount will be equal to Basic Sum Assured. The policyholder can either take the benefit of maturity in lump sum or can get it in installments over a period of 5 or 10 or 15 years. Similarly, the death benefit can also be availed in installments or lump sum over a period of 5 or 10 or 15 years.
Rules for surrender
In case of single premium payment, the policy can be surrendered anytime before maturity. If surrendering in the first policy year, then 75% of the single premium amount will be available. After this, 90 percent of the single premium amount will be available on surrender. Limited premium payment option can be surrendered after at least 2 years premium has been paid.
Benefit of loan
Loan facility is also available in LIC Bachat Plus plan. Loan in single premium option can be availed after completion of 3 months of policy or after completion of free look period. In Limited premium payment option, the loan will be available after payment of premium for at least 2 years. Free look period means that if the policyholder is not satisfied with the policy then in case of offline policy it can be returned within 15 days of taking it. If taken online, it can be done within 30 days.
If the policyholder commits suicide within one year of commencement of risk on LIC Bachat Plus policy, the policy will become void and 90% of the single premium will be returned. In case of limited premium payment, 80 per cent of the premium paid will be refunded. Remember that suicide clause will not be applicable in case of policyholder who is less than 8 years of age.